Paroc Group is expanding its operations in Russia after securing its position as the leading insulation supplier in the Baltic Sea region.
The group has decided to invest in a production plant in Tver region, northwest of Moscow.
According to Paroc Group CEO Kari Lehtinen the stone wool market in Russia is expected to grow significantly faster than that of Western Europe in the coming years.
— The stone wool demand in Russia is expected to grow with an annual rate of approximately ten per cent for several years to come, says Lehtinen.
— The expectation is that the insulation demand in Russia is increasing significantly, carried by tightened legislation in the area of energy efficiency and fire protection in buildings.
— Over the past two decades Paroc has established a strong position in the premium insulation market in Russia through sales operations in Moscow and St Petersburg. We are in a good position to respond to the growing demand by establishing our own local production.
Paroc plans to invest 170 million euros in Tver, consisting of three building insulation lines and equipment for technical insulation production.
Annual production capacity will amount to 150 thousand tons and the plant will employ 600 employees.
The first phase of the investment includes one production line for building insulation products. The production will start in 2013.
Paroc Group specializes in energy efficient insulation products and solutions. The company’s product range includes building insulation, technical insulation, marine insulation, structural stone wool sandwich panels, and acoustics products.
Paroc operates in 13 countries across Europe and already has production facilities in Finland, Sweden, Lithuania and Poland.
Paroc Group is owned by a number of institutional investors, with a minority shareholding owned by Paroc's employees. Net sales in 2011 amounted to 405 million euros and the average number of employees totaled 1,990 people.